Reputation is a key asset for any company whose affairs are based on trust like banks. Despite its importance, the number of studies dealing with reputational risk in financial industry is still limited. We estimate the reputational impact of announced operational losses for a large sample of...

This paper assesses the reputational impact of announced operational losses for a sample of 163 listed financial companies from 1994 to 2008.Measurement of reputational losses is carried out using the event study methodology.The results show that fraud is the event type that generates the...